The Bank of NT Butterfield & Son Limited has signed a definitive agreement to acquire CIBC’s 91.7 per cent stake in CIBC Caribbean Bank Limited in a transaction valued at approximately US$1.8 billion.

The acquisition will create a major banking and wealth management platform across international financial centres and key Caribbean markets, with combined assets of roughly US$29 billion. The deal brings together two long-established regional banks with the aim of strengthening scale, diversification and long-term growth.

In a CIBC release on Thursday, the bank said customers can expect expanded corporate, personal and wealth management services, enhanced cross-border payment capabilities, and continued investments in digital banking technology. It also confirmed that CIBC Caribbean’s regional headquarters in Barbados and existing operational footprint across the region will be maintained.